What We Do

MythUnderstanding

"MythUnderstanding" is a series of videos developed by our Bank to provide facts and address common misconceptions about the Federal Reserve System. The goal of "MythUnderstanding" is to clarify our responsibilities and accurately explain our role in America's economy.

Myth: The Federal Reserve is responsible for fiscal policy.Reality: The Federal Reserve is responsible for monetary policy.

The Federal Reserve works to ensure a stable and sound economy through monetary policy and our supervisory and regulatory roles. Our nation's elected leaders — the president and Congress — set national fiscal policy.

Myth: The Federal Reserve is not audited.Reality: The Federal Reserve is audited.

The Board of Governors in Washington, D.C., and all 12 regional Reserve Banks are subject to internal and external audits, including those by the U.S. Government Accountability Office, also known as the GAO.